Budgeting Concepts for Nurse Managers / Edition 2

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An in-depth guide to preparing accurate nursing budgets, this book will help you improve your financial skills and contribute to your organization's strategic planning. It discusses the different types of budgeting, the budgeting process, forecasting, variance analysis, and costing out nursing services. A variety of settings are included: hospitals, long-term care, home health, community health, managed care, and others. With this guide, you'll learn how to communicate effectively with financial managers, succeed in your role in the budgeting process, and assist in the delivery of high-quality patient care at the lowest possible cost.

• Each chapter includes Learning Objectives to focus your study and a Summary and Implications for Nurse Managers to reinforce what you've learned.
• Additional Suggested Readings provides helpful resources for further research and study.
• An appendix includes numerous sample budget forms and instructions, allowing you to see firsthand the various types of budgeting forms used in day-to-day practice.

• New "Budgeting for Information Systems" chapter describes how to budget for information technology (IT), what kind of personnel you should consider hiring to support the nursing IT function, and how to evaluate IT products.
• New "Budgeting for the Operating Room" chapter covers key stakeholders in the budget development process, developing the prioritization process, and specialized aspects of the operating room budget.
• A discussion of magnet hospitals has been added, including the cost implications of applying for "magnet" status.
• Coverage now includes different delivery care models and their potential budgetary impact to a health care organization, along with Clinical Ladders and the budgetary implications of nurses "testing-up" the ladder.
• Budgeting for clinics and same-day surgery facilities is described.
• Updated and expanded content discusses budget variance analysis and interpretation of budget reports that differ from the planned budget.
• Includes the budget implications of outsourcing, and how to determine whether outsourcing is cost-effective for a particular service.

The book contains black-and-white illustrations.

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Editorial Reviews

Doody's Review Service
Reviewer: Brenda B Harton, MSN, RN (University of Phoenix)
Description: An introductory in-depth guide for nurses who have responsibility for budget preparation, this fourth edition builds on each of its predecessors. Originally published in 1984, this edition of the book has been updated as healthcare management has evolved and now includes timely discussion of key considerations when budgeting for clinical information systems and the nursing shortage.
Purpose: Because many nurse managers learn budgeting on the job, the book assumes no previous financial management experience and presents general concepts of budget preparation to assist nurses in preparing and speaking knowledgably about the budget. Multiple types of budgets are discussed, including operating, capital, long-range, program, and cash. The book clearly presents concepts that can be tricky for nurses who have budget responsibility.
Audience: Designed for nurses in any setting, including nursing education, acute and long-term care, and nurse entrepreneurs, the book is specifically targeted at managers who are responsible for preparing and administering a budget and students who are pursuing graduate degrees in nursing administration. Concepts are also applicable for non-nursing managers. Both authors possess credentials in the areas of financial management and nursing, including academic and practical application perspectives.
Features: Each chapter is self-contained and provides narrative and examples to illustrate principles of budget preparation. Personnel issues, forecasting, benchmarking, and variance analysis are examined, along with sample forms, many of which are completed as example worksheets. The scope of the book is limited in that additional resources are needed to review other financial concerns such as development of business plans and marketing. However, this fourth edition provides clear insight into budgeting parameters for contemporary practice.
Assessment: With great depth, the book establishes itself as an important addition to the library of any nurse manager, and provides guidance in helping the manager communicate and collaborate with those in an organization's financial venue. The importance of nursing knowledge and input in preparing budgets is emphasized as only nurses have the expertise to know the resources that are required for bedside care.
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Product Details

  • ISBN-13: 9780721632797
  • Publisher: Elsevier Health Sciences
  • Publication date: 10/28/1991
  • Edition description: Older Edition
  • Edition number: 2
  • Pages: 370

Table of Contents

1. Introduction: The Different Types of Budgets

2. The Budgeting Process

3. Motivation and Incentives

4. Cost Concepts

5. Personnel Issues

6. Forecasting

7. Strategic Planning and Business Plans

8. The Operating Budget

9. Revenue Budgeting

10. Capital Budgeting (Technical Appendix: Quantitative Methods for Capital Budgeting)

11. Performance Budgeting

12. Cash Budgeting

13. Variance Analysis

14. Variance Analysis: Examples, Extensions, and Caveats

15. Budgeting for Information Systems

16. Budgeting for the Operating Room

17. Benchmarking, Productivity, and Cost-Benefit and Cost-Effectiveness Analysis

18. Costing Out Nursing Services

Additional Suggested Readings


Appendix: Sample Budget Forms and Instructions

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